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Tackling Poverty: Entrepreneurs in Djibouti

djiboutiBetween 1862 and 1977, Djibouti was under French occupation and established a strong economic and military presence, which still exists today. As of 2025, France has five air and naval bases in operation in Djibouti, primarily along the Bab el-Mandeb Strait.

Djibouti thus remains one of France’s last military strongholds on the continent, following the recent withdrawals from Mali and Burkina Faso in 2022 and 2023, respectively. Beyond the military influence that France still exerts, a reliance on imports into Djibouti raises issues of autonomy. The World Food Program (WFP) reports that Djibouti imports 90% of its food, leaving the country vulnerable to fluctuations in global prices, which can significantly affect a Djiboutian’s food purchasing power.

Entrepreneurs in Djibouti

Although starting a new business is not a rapid solution to a problem as critical as food insecurity, it allows entrepreneurs in Djibouti to take control of their future and offers a level of dignity that is not always possible in countries that face difficult circumstances.

As of 2021, the World Bank’s portfolio in Djibouti came to the sum of $248 million, which went towards urban poverty reduction through community development as well as social safety nets and private sector development.

The Regional Director for the International Finance Corporation (IFC) in East Africa, Jumoke Jagun-Dokunmu, stated that the private sector is a key driver for reducing poverty in Djibouti and the IFC, together with the World Ban,k is exploring “opportunities to support reforms that will improve Djibouti’s business environment and investment climate.”

People and Projects in Djibouti

As of 2023, the Djibouti Social Development Agency and Centre for Leadership and Entrepreneurship – part of a World Bank-financed initiative – has launched the Youth Entrepreneurship Training Program (FORJE), which aims to alleviate poverty and create a ripple effect in communities with high unemployment. In 2023, estimates suggested that 79% of youth in Djibouti were without work, and for women, that figure was at 74%; hence, the need for income generation within communities that are on the periphery of government support.

The FORJE program provides 2,300 microbusinesses access to developmental services like accounting, marketing and capital. For Mouna Yacin Abdillahi, from Dikhil in South-Western Djibouti, her small restaurant business has transformed her family’s life: “The FORJE program gave me an opportunity, a reason to get up every morning, and for that I thank the creators of the program. I feel useful to the community.”

For recipients of the FORJE grants and services, the benefits go far beyond a material improvement in daily life. For Mouna, the program has empowered her and given her a sense of purpose in a community where her job prospects would have been few otherwise.

The Future

Hopefully, more programs financed by international organizations such as the World Bank will start to appear in other parts of Africa that face high levels of unemployment and poverty. Although entrepreneurship is not always the quickest solution to alleviating poverty, a combination of humanitarian aid packages and commercial training programs provides a strong base to economically regenerate communities as well as grant autonomy and dignity to beneficiaries.

– Alfie Williams-Hughes

Alfie is based in Nottingham, UK and focuses on Business and Politics for The Borgen Project.

Photo: Flickr

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The Beggars Corporation: Empowering Entrepreneurs in India

How the Beggars Corporation Empowers Entrepreneurs in IndiaThe Beggars Corporation (BC), incorporated in August 2022, offers a different approach to poverty alleviation in India. Instead of offering food or donations, BC invests directly in beggars through its Beggars-Turned-Entrepreneurs (BTE) program. The initiative aims to help people transition from street begging to owning and managing small businesses. Founded by Chandra Mishra, BC’s mission is to make India “begging-free” by helping the country’s estimated 413,670 beggars build sustainable livelihoods. Mishra’s concept, which he terms “Employonomics,” challenges traditional aid models. He argues that a small percentage of the $12 million donated annually to India’s poor can instead fuel long-term change through social investment.

The Beggars Corporation

BC operates under a “One Beggar, One Mentor” system. Rather than seeking support from the government or major NGOs, the company engages wealthier Indian citizens as mentors and investors. Selected participants receive training in vocational skills, such as tailoring or business management. For example, Rajni, BC’s first BTE, learned embroidery and went on to create two brands: Bagful of Dreams and Enchanted Shirts. Once trained, each BTE partner works with their mentor and BC to form a legal business entity called a Special Purpose Vehicle (SPV). Each SPV allocates 24% ownership to the BTE, 24% to the mentor and 52% to BC. During training, participants also receive a monthly stipend of 10,000 INR.

Investment With Social Returns

In BC’s first investment round, 57 individuals each contributed and earned a 33.5% annual return on investment. Currently, mentors invest 200,000 INR over three years. The “handholding” phase follows training, where mentors help BTEs manage finances, navigate regulatory compliance and market their products. After three years, mentors recover their investment with returns and BTEs can choose to continue their business or pursue other employment.

Expanding Impact

To help create entrepreneurs in India, BC has expanded operations beyond the One Beggar, One Mentor scheme. Although BC began in Varanasi, it recently expanded to Dehradun, the capital of Uttarakhand, by signing a Memorandum of Understanding (MoU) to eliminate begging in the city. There, BC will open another School of Life, an education program for child beggars. The program offers academic instruction up to the equivalent of the 10th grade, along with vocational training through a “Learn and Earn” model. BC also supports job creation beyond entrepreneurship. The Karma Cafe in Varanasi, launched under an SPV, has already created 12 jobs for former beggars. Other businesses, such as Helping Hands, a home cleaning service, have reportedly employed up to 100 former beggars.

Results and Real Stories

According to Mishra, 17 beggars became entrepreneurs in the program’s first two years. Including jobs created by BTE-owned businesses, the total number of beggars helped reaches about 1,000. In 2024 alone, 21 active BTE businesses generated more than $418,000 in revenue. Individual stories highlight the human impact. Rajni, once a street beggar, now works in a hospital and supports her son. Vishal, a 12-year-old formerly known as India’s “Mascot of Poverty,” now works as a tour guide and earns between $175 to $350 a month after graduating from the School of Life.

The Future

In less than three years, the Beggars Corporation has shown that sustainable business models can empower India’s poorest citizens. By altering the traditional model of charitable giving into a business venture, BC creates lasting, meaningful employment opportunities for India’s poor. By giving investors an interest in their donation in the form of a share in the SPV and by developing key business skills in their BTEs, the Beggars Corporation could help many individuals escape the cycle of poverty and may one day make India begging-free. 

– Charles Citron

Charles is based in Boston, MA, USA and focuses on Business and Politics for The Borgen Project.

Photo: Flickr

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The Power of Refugee Entrepreneurship in Rebuilding Futures

Refugee EntrepreneurshipFor the millions displaced by war, persecution, or natural disasters, rebuilding their lives is an overwhelming challenge. Yet amid the uncertainty of displacement, a powerful force is emerging: refugee entrepreneurship. Across regions often overlooked by global media, displaced individuals are turning hardship into opportunity by creating small businesses, generating income and restoring dignity in their host communities.

In countries bordering conflict zones, where formal job opportunities are scarce and refugees often face legal uncertainties, entrepreneurship emerges as both a lifeline and a source of empowerment. Many are launching bakeries, electronic repair stands and food stalls—ventures that reflect resilience and draw upon rich cultural traditions.

Uganda: A Refugee Economy in Action

One example can be seen in Uganda, home to more than 1.6 million refugees, primarily from South Sudan and the Democratic Republic of Congo. In the settlements of northern Uganda, informal markets have flourished. There, refugee-led businesses provide vital goods and services not only to fellow refugees but also to local Ugandan populations. This exchange fosters economic integration and builds social cohesion.

Key to this entrepreneurial growth is access to microcredit and skills training. Local NGOs and community-based organizations play a central role, offering workshops on financial literacy, digital skills and basic business management. Though resources are often scarce, these initiatives help refugees turn personal talents into viable livelihoods.

The Rise of Informal Businesses in Jordan

In Jordan, where more than 600,000 Syrian refugees reside, informal businesses have sprung up in camps and urban areas alike. While regulatory hurdles remain, particularly regarding business permits and movement, many Syrians have found ways to offer services such as hairdressing, tutoring or mobile phone sales. These businesses reflect both resilience and the desire to reclaim agency in an environment often defined by limitations.

Despite the barriers, refugee entrepreneurship thrives because of its adaptability. Refugees are uniquely positioned to identify gaps in local markets and respond with innovative solutions. In many cases, their businesses introduce new flavors, fabrics, techniques and perspectives that enrich the local culture.

Critically, the impact of refugee entrepreneurship extends beyond economic self-sufficiency. It cultivates hope and purpose, rebuilding identities fractured by displacement. It also challenges dominant narratives that portray refugees solely as victims or burdens. By creating jobs, paying taxes and participating in local economies, refugee entrepreneurs are demonstrating their potential as contributors to the future of their communities.

Policy, Legal Barriers Remain

Significant challenges still hinder these initiatives. Policy frameworks in many host countries remain restrictive, limiting refugees’ ability to register businesses, open bank accounts or move freely. Advocacy and inclusive policies are necessary to ensure that refugee entrepreneurship is not confined to the informal sector. Recognition of their economic potential must be matched by legal and institutional support.

In places where resources are limited, community-driven models of support have proven effective. Peer mentorship and shared workspaces are just a few of the grassroots strategies helping displaced individuals launch and sustain their businesses.

Refugee Entrepreneurship: The Future

As the global refugee population surpasses 100 million, according to the World Bank, the need for durable, dignified solutions has never been greater. Empowering refugees through entrepreneurship is not just a path toward economic stability; it is a pathway to healing, agency and long-term development. Refugees are more than their displacement. Through refugee entrepreneurship, they are redefining their futures—not as dependents, but as business owners, innovators and agents of change.

– Rhasna Albuquerque

Rhasna is based in Fortaleza, Brazil and focuses on Good News and Celebs for The Borgen Project.

Photo: Flickr

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Unicorns and Startups: Declining Poverty in India

Declining Poverty in IndiaOver the last 15 years, India’s economy has grown significantly. Once viewed as a developing country that shipped its skilled labor and talent abroad, India increasingly retains young entrepreneurs within its borders. Due to this emerging sense of entrepreneurial activity, India now has the third-largest tech ecosystem in the world, behind only China and the U.S..

According to the most recent estimates from the World Bank, 12.92% of India’s citizens lived in extreme poverty (under $2.15 a day) in 2021. That number jumps to about 44% when poverty is defined as living on less than $3.15 per day. Yet at the same time, India’s startup ecosystem has skyrocketed, led by its “Unicorn” companies. A Unicorn company is a startup with a total valuation of more than $1 billion. India now has more than 100 Unicorn companies across the tech sector, ranging from EV startups to online financial services.

A Rising Tide

The startup ecosystem has undoubtedly created many positive benefits for Indian society. For instance, the emerging companies create new job opportunities for Indian citizens with varied skills and backgrounds. Estimates show that job growth in India will continue its upward momentum and expand at a rate of 9% in 2025. As new startups continue to pop up, new employees will be necessary to fill various roles. Increasing employment is a direct way to create new economic opportunities and stable environments for Indian citizens, as research suggests that job growth helps to reduce poverty.

The logic here is that a rise in the general wealth of the state could benefit all its citizens. Besides directly creating jobs, India’s rising wealth also means that funds could go into philanthropic opportunities. Public affairs expert Nicole Manetti notes the charitable impact of the Azim Premji Foundation. Once the chairman of the Indian tech startup Wipro, Premji now uses the money he made as a business leader to invest in educating India’s poor. Premji’s case demonstrates that the increased levels of wealth in India’s top classes can still benefit its poorest citizens.

Moreover, the new businesses increasingly create job and leadership opportunities for women in India, helping to close the gender gap in business. Female entrepreneurial activity is almost equal to that of males, at a rate of .73 to 1. While a clear funding gap for women-led businesses still exists, the gender divide has been closed in other ways. Thanks to government initiatives centered around the drive toward entrepreneurship, males and females in India now own bank accounts at equal rates.

Companies That Care

Leaving aside the net benefits generated by the new tech ecosystem as a whole, individual businesses alone can create products and systems that benefit India’s poor. For example, Indian fintech startup Refyne is helping India’s poorest citizens avoid the crippling debt cycle and predatory lending practices that often prevent poverty-stricken individuals from climbing the socioeconomic ladder. Refyne offers a cheaper line of credit than its competitors to workers living paycheck to paycheck. By giving workers a money advance they have already earned, the company provides a safer lending alternative to those struggling to make ends meet.

Karya, a startup that collects large-scale data to feed AI machines, is another business working to alleviate poverty in India. Karya pays competitive wages to its part-time workers, who help train the AI systems in their native dialects. Because AI is largely trained on widely spoken languages like English, there is a need for data on smaller, regional dialects.

Karya works with organizations to find people most in need of work, and gives its employees ownership of the data that they create. However, generating economic activity among poverty-stricken citizens is not Karya’s only benefit to Indian society. The hope is that the language data collected from workers in remote regions will make AI more accessible to those same workers, making it easier for those who speak rare dialects to get health and financial advice.

Do Unicorns Help the Poor?

For all the good these tech startups create, some question whether the businesses effectively alleviate poverty in India. Researcher John Hoffmire points to India’s high poverty rates and large wealth gap as evidence of an unequal distribution of the tech boom’s benefits. He highlights the problem of informal workers whose “low wages and minimal protections” result in “an unbalanced labor market.” Adding to this inequality and imbalance is the fact that a large portion of India’s population is still at risk of poverty, especially when using the $3.15 benchmark.

However, using the Gini Index, it is clear that India’s inequality has declined in recent years, moving from 35.9 in 2017 to 32.8 in 2021. This can be compared to the global average Gini Coefficient of 38.2.

Moreover, Bhalla and Bhasin note that India has nearly eliminated poverty below the severe $1.9 line. This leads them to suggest that India should set new standards for measuring poverty within its borders. This trend follows the other poverty-reducing improvements, such as decreased inequality and increased job growth, discussed in this article.

The Future of Poverty Rates in India

While it is not certain that declining poverty and inequality in India can be directly tied to its startup boom, it is clear that many of India’s new businesses are creating positive social and economic change. From increased job growth to a greater level of female entrepreneurship to projects specifically focusing on helping India’s poor, much of the tech ecosystem activity focuses on eliminating poverty in India. Although India’s continuously decreasing poverty rates may be due to a confluence of factors, the country continues to trend in the right direction. Led by its ambitious new startups in the tech sector, India’s economy continues to grow as its citizens move to a more sustainable economic outlook.

– Charles Citron

Charles is based in Boston, MA, USA and focuses on Business and Politics for The Borgen Project.

Photo: Flickr

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PretaHub: Stimulating Growth in Brazil

pretahubIn Brazil, where economic inequality disproportionately affects Black communities, one woman is driving transformative change through entrepreneurship. Adriana Barbosa, founder of PretaHub, has dedicated her career to empowering Black entrepreneurs and reducing poverty by fostering economic inclusion. Through initiatives like the Feira Preta Festival, Barbosa has built a thriving network that strengthens Black-owned businesses, promotes financial independence, and challenges systemic barriers.

PretaHub: A Platform for Economic Empowerment

Adriana Barbosa launched PretaHub as a business accelerator that focuses on supporting Black entrepreneurs, many of whom face limited access to funding, mentorship and networking opportunities. The platform provides essential resources such as business training, financial literacy programs and investment connections.

PretaHub helps create sustainable businesses that generate employment and uplift communities by equipping entrepreneurs with these tools. It helps entrepreneurs overcome challenges they often face, such as denied credit.

Barbosa’s work through PretaHub directly addresses these disparities by creating opportunities for economic mobility. PretaHub is responsible for investing $2.2 million into assisting entrepreneurs, as of February 2024. By strengthening Black-owned businesses, she not only helps individuals but also contributes to broader economic development, reducing poverty by increasing financial stability within marginalized communities.

Celebrating Black Innovation

A key initiative of PretaHub is the Feira Preta Festival, an annual event that highlights and supports Black entrepreneurship, culture and innovation. This festival serves as a marketplace and networking hub where Black business owners can showcase their products, connect with potential investors and gain media visibility. It also includes workshops, panel discussions and mentorship programs designed to equip entrepreneurs with valuable skills, according to the Atlas of the Future.

The festival has become a crucial platform for economic inclusion, attracting thousands of participants and contributing to a growing ecosystem of Black-owned businesses in Brazil. Furthermore, by fostering visibility and market access, Feira Preta directly supports financial growth and job creation, helping to break the cycle of poverty in Black communities.

Reducing Poverty Through Business Growth

The impact of PretaHub extends beyond individual business success—it is part of a larger movement that could reduce poverty by empowering historically excluded communities. When small businesses succeed, they strengthen local economies while creating jobs for the working class.

PretaHub’s initiatives have provided Black entrepreneurs with the tools to grow, helping them achieve financial independence and, in turn, uplift their communities. One of the most significant ways PretaHub reduces poverty is by addressing the financial barriers that often prevent Black entrepreneurs from scaling their businesses. Through partnerships with financial institutions, PretaHub has facilitated greater access to microloans, grants and investment opportunities, ensuring that small businesses have the resources needed to grow, according to the Atlas of the Future.

Additionally, the organization provides training in financial literacy, helping entrepreneurs manage their businesses more effectively and build long-term stability. This financial support and education not only help individual business owners but could also contribute to broader economic development by fostering job creation and local economic stimulation. By empowering Black entrepreneurs to succeed, PretaHub is actively working to close the racial wealth gap and create a more equitable future for all.

Creating Initiatives That Reduce Poverty

Adriana Barbosa’s leadership in PretaHub exemplifies how women-led businesses can be a driving force for economic and social change. Through initiatives like the Feira Preta Festival, she has created opportunities for Black entrepreneurs to thrive, reducing poverty and challenging systemic inequality. Indeed, her work is a testament to the power of innovation, resilience, and community-driven economic development. As PretaHub continues to grow, its impact on Brazil’s economic landscape will only strengthen, paving the way for a more inclusive and prosperous future.

– Bailie Cross

Bailie is based in Pensacola, FL, USA and focuses on Global Health and Politics for The Borgen Project.

Photo: Flickr

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ILO Launches Program to Empower Women in Uganda

ILO Launches Program to Empower Women in UgandaUganda is nestled in East Africa and is famous for its rich wildlife and is known for being the “pearl of Africa.” In recent years Uganda has made significant strides toward gender equality. In 1995 the constitution declared men and women equal in the eyes of the law. Despite this recent political progress, the reality in Uganda is not reflective of these political changes. Women still face a gender wage disparity of 32.3 %. This economic disparity hinders Uganda from reaching its full economic potential if approximately half the workforce faces wage disparity. Empowering women in Uganda would foster their economic inclusion and by extension prop up the country’s national wealth.

Uganda’s Coffee Industry

Uganda is part of the global coffee industry’s supply chain, which is worth billions of dollars since the county’s climate is ideal for growing coffee plants. The country is the 7th largest exporter of coffee. Its coffee sector plays a vital economic role, supporting 1.8 million farming households and generating approximately one-third of the nation’s export revenue, which funds essential public infrastructure and services. Uganda aims to significantly expand its coffee production capacity with plans to increase exports fourfold in the future.

Women’s Role and Wage Disparity

Despite women performing the majority of coffee farming labor in Uganda, handling nearly 70% of fieldwork and post-harvest processing, they face significant wage disparities, earning approximately $250 less than their male counterparts during harvest season.  Women in East Africa’s coffee sector still face systemic barriers rooted in cultural norms and institutional practices. These include the inability to inherit land directly from their families, exclusion from cooperative membership due to lack of plant ownership and limited access to leadership roles due to prejudiced assumptions about their capabilities. These challenges are further compounded by women’s disproportionate responsibility for household duties and childcare, as well as limited access to formal education, effectively creating a cycle that restricts their economic advancement in the coffee industry.

Empowerment Programs

Recognizing the coffee industry’s central role in the economy, the International Labour Organisation (ILO) has strategically chosen this sector as a pathway to empowering women in Uganda. The ILO’s CLEAR Supply Chains project, which seeks to eliminate child labor from supply chains,  is launching a Women’s Leadership and Empowerment Program in Uganda’s Kalungu district to develop leadership and technical skills among women coffee farmers. The program began with a needs assessment in October 2024, involving focus group discussions with coffee farmers from the Lwabenge sub-county, which identified training needs in areas such as financial literacy, agricultural practices and leadership skills. 

Training and Leadership Development

Following farm visits and assessments, in cooperation with ILO members from the Siraye program in Ethiopia and Ugandan Members of the International Women Coffee Alliance (IWCA), a four-day training of trainers was conducted in December at Kalungu district headquarters. The 16 participants received comprehensive training on topics including management, leadership, gender equality and farm workers’ rights. The next phase includes a refresher session planned for February 2025, where trained farmers will learn to deliver training to their peers, with ongoing mentoring from ILO and IWCA throughout the program. This initiative represents a significant effort to enhance women’s participation and representation in coffee farming cooperatives and farmer groups in the Kalungu district.

Moving Forward

The ILO’s Women’s Leadership and Empowerment Program represents a thoughtful approach to addressing gender disparities in Uganda’s coffee sector. By directly challenging misconceptions about women in leadership, while providing practical skills training, the program aims to unlock the untapped potential of female farmers who constitute a large share of the workforce. The collaboration with the local chapter of the International Women Coffee Alliance demonstrates the value of incorporating local expertise and understanding, ensuring interventions are culturally appropriate and sustainable. Given coffee’s significance to Uganda’s export earnings, empowering women in Uganda in this sector could create a ripple effect, not only advancing gender equality but also strengthening the nation’s economic prosperity as a whole.

– Salome von Stolzmann

Salome is based in London, UK and focuses on Good News and Politics for The Borgen Project.

Photo: Flickr

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Reducing Poverty Via Social Entrepreneurship in Indonesia

Social Entrepreneurship in IndonesiaThe largest economy in Southeast Asia, Indonesia, has achieved impressive economic growth in the last decade, with a steady gross domestic product (GDP) growth rate after overcoming the effects of the Asian financial crisis in 1998. However, a significant portion of the country’s population is still living in poverty. As of March 2024, Indonesia’s poverty rate stood at 7.09% for the urban region and 11.79% for the rural area. In total, more than 25 million Indonesians are living below the national poverty line.

Social Entrepreneurship in Indonesia

Social entrepreneurs or entrepreneurs who pursue innovative ideas with the potential to solve a community problem, can contribute to poverty reduction in Indonesia. As of 2018, there were an estimated 34,205 social enterprises in Indonesia, including nongovernmental organizations (NGOs), cooperatives and micro, small or medium businesses. The study also found that young people are strongly represented in social enterprises, suggesting the increasing popularity of social entrepreneurship among young people and the growth potential of social entrepreneurship in the future. Social enterprises in Indonesia are mostly in the creative industry (22%), followed by the agriculture and fisheries industry (16%) and the education sector (15%).

Social entrepreneurship in Indonesia can support business opportunities and economic development in the country. Researchers found that amid economic crises like the COVID-19 pandemic, social entrepreneurship plays an important role in encouraging the creation of existing and new social entrepreneurial business opportunities to help solve economic development problems. Besides, social entrepreneurship also contributes to sustainable environmental policies in Indonesia. Research on green space development in Indonesia suggests that social enterprises serve as catalysts for ecological impact, effectively converting community perceptions that favor sustainability into sustainable practices.

Facilitating Positive Changes

For instance, Azzura Solar, a social enterprise co-founded by Hemant Chanrai, is a social enterprise that focuses on solar energy and empowers communities with its businesses. The Bright Future Program (BFP) of the company installs solar panels for the population in the Marga Mulya area of North Jakarta, a more impoverished region of the country with limited access to electricity. The enterprise developed its own indigenous, low-cost system that not only promotes access to electricity for needier populations but encourages the reuse of drinking bottles. The receivers of the services can pay what they can afford, with the rest of the cost covered by sponsors and Azzura Solar.

Javara, on the other hand, focused on assisting local indigenous farmers to earn their livelihood from traditional agricultural products. Through ethical partnerships with farmers, fishers and food artisans, the enterprise brings biodiversity-based food products from rural Indonesia to a broader market. With a wide range of products from honey and coffee to pasta, the company has exported sustainable agricultural products in Indonesia to 33 countries on five continents.

Looking Forward

Policymakers in the Indonesian government have promoted social enterprises mainly through financial assistance and training. The Kredit Usaha Rakyat (KUR) Program, for instance, has been in place to provide bank loans to small businesses in Indonesia since 2007. The Beginner Entrepreneur Program also provides funds for young entrepreneurs with training certificates from the Ministry of Cooperatives and Small and Medium Enterprises.

The ProKUS program in 2021 assisted impoverished and vulnerable families with activities and social and business approaches to prevent and overcome social risks after the COVID-19 pandemic. The program collaborated with social workers and 26 business mentors to incubate social enterprises across 33 districts of the country, improving entrepreneurship skills for the recipients.

With significant government commitment and existing successes, social entrepreneurship in Indonesia is a highly promising solution that can promote poverty reduction in the country. By further promoting social entrepreneurship, the government can empower the local community and contribute to sustainable development in the long term.

– Wangruoxi Liang

Wangruoxi is based in Ann Arbor, MI, USA and focuses on Business and New Markets for The Borgen Project.

Photo: Pexels

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How SEWA Aids Self-Employed Women in India

How SEWA Aids Self-Employed Women in IndiaThe vast majority of working women in India are self-employed, operating informally without the social protections and stable incomes that formal employment provides. According to the Ministry of Labour and Employment, 19.7% of employed women in India are self-employed, 6.8% work as casual labor and only 5.3% hold regular wage or salaried positions. Besides their professional obligations, women often undertake extensive unpaid domestic duties such as cooking, cleaning and childcare. Organizations like the Self-Employed Women’s Association (SEWA) play a crucial role in supporting these women by providing resources and advocacy.

SEWA’s Grassroots Support for Self-Employed Women

Founded in 1972 in Ahmedabad, SEWA is one of India’s 12 officially recognized central trade unions. The organization has a membership of 2.9 million. SEWA adopts a grassroots approach, offering microloans, health care, childcare and other benefits to support self-employed women. According to the World Bank, it represents poor women working in India’s informal sector, which constitutes 94% of the Indian workforce.

SEWA’s Philosophy and Operational Strategies

SEWA operates under the Gandhian principles of Ahinsa (nonviolence), Satya (truth), Sarvadharma (inclusivity of all faiths and peoples) and Khadi (promotion of local employment and independence) to achieve its dual goals of full employment and self-reliance. Full employment encompasses complete work, income, food and social security—including health care, insurance, childcare, housing and pensions. SEWA’s 85 composite cooperatives function as localized trade unions empowering women in the informal sector. Additionally, SEWA runs 60 health care centers and a bank with 130,400. Account holders made deposits totaling 454.3 million rupees in 2002. The union also partners with national insurance companies to offer accessible insurance programs, benefitting 11,000 women with 15 million in claims over the decade leading up to 2002.

SEWA’s Response to the COVID-19 Pandemic

SEWA networks have been crucial for supporting informal workers during COVID-19, especially amid harsh lockdowns. Reema Nanavaty, director of SEWA, explained in an interview with the Center for Foreign Relations how SEWA disseminated vital public health information through posters and voice memos to rural communities neglected by government efforts. Leveraging its long-standing initiatives in digital literacy and technology access for impoverished women in urban slums and remote areas, SEWA effectively used digital platforms to spread important health information via social media and WhatsApp. Additionally, SEWA members produced more than 200,000 masks, distributing them to governments, local hospitals and communities.

Despite numerous challenges, self-employed women in India are finding economic empowerment and social uplift through grassroots organizing, collective action and institutionalized labor movements. SEWA exemplifies the significant impact of these ongoing efforts.

Looking Ahead

SEWA’s efforts continue to provide critical support for self-employed women in India, ensuring their access to essential services and resources. By promoting financial inclusion, health care and social security, SEWA empowers these women to achieve greater economic stability and independence. The organization’s proactive response during the COVID-19 pandemic further highlights its vital role. As SEWA expands its initiatives, it remains a beacon of hope for millions of self-employed women across the country.

– Josephine Koch

Josephine is based in New York, NY, USA and focuses on Good News and Technology for The Borgen Project.

Photo: Flickr

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Social Enterprises in Colombia

Social Enterprises in ColumbiaColombia is witnessing a transformative wave of social enterprises addressing pressing social issues while generating employment and reducing poverty. These innovative businesses are tackling critical challenges such as waste management, economic inclusion and sustainable agriculture, all while creating jobs and improving the quality of life for many Colombians. 

Tackling Waste with Innovation

Conceptos Plásticos is a leading example of innovation in waste management and housing solutions. This enterprise transforms plastic waste into building materials for affordable housing. In 2018, Colombia produced approximately 14 million tons of municipal waste daily and only 17% is recycled. Conceptos Plásticos reduces plastic pollution, creates jobs and provides sustainable housing solutions for low-income families. The company has already built more than 1,500 homes using recycled plastic. By converting plastic waste into a valuable resource, Conceptos Plásticos significantly impacts both environmental sustainability and social welfare.

Promoting Economic Inclusion

Fundación Capital is another notable enterprise making strides in Colombia. This organization focuses on economic inclusion by offering financial education and digital tools to low-income individuals. In Colombia, approximately 30% of the population lives below the poverty line. Fundación Capital’s initiatives help individuals manage their finances and improve their livelihoods. The organization has reached more than six million people across Latin America with its programs. By empowering people with the knowledge and tools to achieve financial stability, Fundación Capital plays a crucial role in reducing poverty and promoting economic growth. The initiative highlights the importance of financial literacy in achieving long-term economic sustainability.

Advancing Sustainable Agriculture

SiembraViva, a Colombian social enterprise, addresses environmental sustainability and agricultural innovation. Agriculture accounts for about 6.3% of Colombia’s GDP, with many small farmers struggling to maintain sustainable practices. SiembraViva supports small farmers by providing technology and promoting sustainable farming practices. These ongoing efforts improve crop yields and reduce the environmental impact of agriculture. The enterprise has supported more than 1,000 farmers, reducing waste from 30% to 5% and guaranteeing farmers an income. By focusing on sustainable methods, SiembraViva helps ensure that farming practices contribute to long-term ecological health.

The Broader Impact

These social enterprises in Colombia illustrate the powerful role of entrepreneurship in driving social good. By tackling critical issues such as waste management, economic inclusion and sustainable agriculture, these social enterprises are creating jobs and improving the quality of life for many Colombians. Colombia’s unemployment rate, which stood at 11.3% in 2024, underscores the need for job creation initiatives. The innovative solutions provided by Conceptos Plásticos, Fundación Capital and SiembraViva demonstrate the potential of social enterprises to transform economies and uplift communities. As Colombia continues to support and nurture these initiatives, the positive impact on society is expected to grow, contributing to a more sustainable and inclusive future.

– Chelsea Rasool

Chelsea is based in Stirling, Scotland and focuses on Technology and Solutions for The Borgen Project.

Photo: Flickr

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CIRCLE Alliance: Increasing Circular Plastic Economies

CIRCLE AllianceJune 6, 2024, marked the launch of the new CIRCLE Alliance collaboration. The public company Unilever, the United States Agency for International Development (USAID) and the private organization Ernst and Young (EY) have all partnered to create the CIRCLE Alliance. These organizations are working with entrepreneurs and small businesses that are already established in the plastic waste sector.

They aim to find solutions to scale the work already being done through their $21 million investment. Through this and by focusing on increasing circular plastics economies, CIRCLE will work to reduce the use and waste of plastic products. CIRCLE’s initial plan is to launch projects in four key countries: India, Indonesia, Vietnam and the Philippines. Within these countries, CIRCLE will focus efforts on those who already perform most of the collection and disposal of waste – women.

Plastic in CIRCLE’s Key Countries

  • India produces the most plastic waste in the world, behind the United States (U.S.) and the European Union (EU), with 26,000 tons generated daily. It is also the leader in polymer production, the substance used to create plastic.
  • Indonesia generates just more than 21,000 tons of plastic waste daily. Most of the waste comes from rural locations without proper waste management systems. Most of the waste ends up in waterways, floating down rivers. Only 17% of the waste that makes it into rivers either washes up or is removed.
  • Vietnam’s recent economic growth contributes to the plastic waste problem. The nation produces almost 8,500 tons of plastic waste daily and if it continues on its current path, this amount is projected to double by 2030.
  • The Philippines produces just less than 8,000 tons of plastic waste daily and the country’s coastlines are suffering. Much of the country’s economy is based on coastal work—fishing, tourism and shipping. With 20% of all plastic waste finding its way to the ocean, these industries are being impacted. 

What Are Circular Plastic Economies?

In circular plastic economies, plastic waste is reduced by finding solutions to recycle and reuse plastic products that are currently being thrown away. Plastic, a material used globally, is estimated to double in production in the next 20 years. We are creating and producing new plastics daily and therein lies the problem. The world currently creates more plastic than is recycled for reuse. Currently, 84% of all plastic created is disposed of in landfills, fires or the ocean.

Globally, plastics are mostly operating in a “linear take-make-waste model,” a term coined by the Ellen MacArthur Foundation, a leader in circular economy creation and research. With the introduction of circular plastic economies, the economic value of production is recouped. Additionally, the material does not find its way into the environment.

CIRCLE Alliance’s Investment in Entrepreneurs

CIRCLE Alliance has already shown its dedication to the cause and displayed how circular plastic economies promote poverty reduction. In the Philippines, for example, lives Riza Santoyo. Her inspiring story starts with a self-funded waste-collecting business in her small town. She used the resources available to her to collect waste, making about $2 a day. CIRCLE Alliance’s investment in equipment for Santoyo allowed her to increase not only her efficiency and productivity in waste collection but also her income. The efforts that the CIRCLE Alliance is making in these key countries are at the intersection of sustainability and poverty reduction.

Expand Producer Responsibility

Another initiative to increase circular plastic economies is to expand producers’ and companies’ responsibility for the aftermath of their products. To combat the myth that single-use plastic is the most cost-effective method, USAID, EY and Unilever are working to promote systems of use called Extended Producer Responsibility (EPR Systems). These systems flip the responsibility of waste removal from the consumer to the producer. It forces the producer to evaluate the true cost of their single-use product. This has encouraged companies to make their plastic recyclable and to think of solutions outside of plastic for their products.

– Carlee Unger

Carlee is based in Pembroke, NC, USA and focuses on Global Health and Politics for The Borgen Project.

Photo: Pexels